Canada: IP Migration Strategies: Pre And Post-BEPS

Last Updated: June 20 2016
Article by Dale Hill

The largest initiative the transfer pricing world has seen, since the introduction of the Organization for Economic Cooperation and Development's ("OECD") Transfer Pricing Guidelines for Multinational Enterprises and Tax Administrations ("Current TP Guidelines"), is in its final stages and will result in material changes in the way the global operations of corporate organizations are structured and international transactions are reported. On Oct. 5, 2015, the OECD released the final report of its 15-point Action Plan on Base Erosion and Profit Shifting ("BEPS"). The BEPS Action Plan was an ambitious project that addressed a number of concerns relating to international corporate tax planning. Actions 8 to 10 and Action 13 deal specifically with transfer pricing concerns and, in addition to the introduction of Country-by-Country Reporting ("CBCR"),  contain significant revised guidance in the form of amendments to the Current TP Guidelines ("Amended TP Guidelines"). In brief, the OECD's BEPS initiative, as it pertains to transfer pricing, attempts to prevent aggressive profit shifting strategies by amending the Current TP Guidelines to better align transfer pricing outcomes with value creation. This is accomplished by placing more emphasis on the allocation of profits to the jurisdiction where substantive functions are performed, including the control functions related to risks assumed and capital employed. The Amended TP Guidelines, intended to be clarifying in nature and not a departure from the arm's length principle as enshrined in the Current TP Guidelines, now provide the tools and support Canada Revenue Agency ("CRA"), and presumably other tax administrations, need to successfully challenge tax motivated transfer pricing strategies where substantive people functions are not transferred with the intangible property ("IP").

This paper examines the OECD BEPS initiative as it applies to the transfer pricing aspects of intangibles and the impact on tax motivated IP migration strategies. It is widely recognized that the primary objective of an MNE is to maximize profits and as such MNEs are constantly evaluating their international operations in an effort to maximize revenues and minimize costs, including tax expenses. Historically, where the commercial opportunity existed, companies often adopted IP migration transfer pricing strategies that allocated significant profits to lower-tax jurisdictions. In the most extreme cases, no or minimal functionality (i.e. no employees) was transferred with the IP (e.g. cash box companies). Many of these strategies, and the tax savings that arose from them, whether rightfully or wrongfully, were thought to be legally effective and in line with the arm's length principle as described in the Current TP Guidelines. Such tax motivated IP migration strategies have often come under careful scrutiny by tax administrations. Notwithstanding such scrutiny, there was a lack of clear guidance and policy application by the CRA's Audit Division, Appeals Directorate and Competent Authority. In many cases the CRA accepted these structures as they were generally thought to be tax efficient and in line with the arm's length principle regardless that significant profits were allocated to that lower tax jurisdiction.  This is about to change.

BEPS changes to Current TP Guidelines in respect to Intangibles

The OECD's BEPS Action Plan was an enormous undertaking covering many areas of international tax and only time will tell what the collective impact will be as a consequence of all the final report recommendations. However, what is widely agreed upon in the international tax community is that the most immediate, and likely most significant, impact from the BEPS project will be in the world of transfer pricing. The new CBCR and the Amended TP Guidelines are reality and are here to stay.

The OECD's work related to transfer pricing under the BEPS Action Plan focused on three key areas. Action 8 looked at transfer pricing issues related to transactions involving intangibles,  Action 9 considered the contractual allocation of risks and the resulting allocation of profits to those risks and  Action 10 focused on other high-risk areas including the possibility of re-characterizations where transactions were not commercially rational. The Amended TP Guidelines arising as a consequence of the OECD's work on Actions 8 to 10 are significant and amend several Chapters and Sections of the Current TP Guidelines.  The following is a brief summary of the new guidance dealing with intangibles:

  • Legal ownership of intangibles by an associated enterprise alone does not determine entitlement to returns from the exploitation of intangibles;
  • Associated enterprises performing important value-creating functions related to the development, enhancement, maintenance,  protection and exploitation ("DEMPE") of the intangibles can expect appropriate remuneration;
  • An associated enterprise assuming risk in relation to the DEMPE of the intangibles must exercise control over the risks and have the financial capacity to assume the risks including the very specific and meaningful control requirement;
  • Entitlement of any member of the MNE group to profit or loss relating to differences between actual and expected profits will depend on which entity or entities assume(s) the risks that caused these differences and whether the entity or entities are performing the important functions in relation to the DEMPE of the intangibles;
  • An associated enterprise providing funding and assuming the related financial risks, but not performing any functions relating to the intangible, could generally only expect a risk-adjusted return on its funding;
  • If the associated enterprise providing funding does not exercise control over the financial risks associated with the funding, then it is entitled to no more than a risk-free return.

An Example of the New Approach

To see how the allocation of profits from IP transfers differ between a pre and post-BEPS world, consider Example 17 from the Amended TP Guidelines.  In the example, the following facts/assumptions are assumed:

  1. Parent is a large pharmaceutical company.
  2. Parent conducts its operations in country X.
  3. Parent regularly retains independent (unrelated) Contract Research Organizations (CROs) for research and development ("R&D") activities, including designing and conducting clinical trials.
  4. CROs are not engaged in the blue sky research to identify new compounds.
  5. When retained, Parent actively participates with CRO engaged in clinical research activities.
  6. CROs are paid a negotiated fee for services and do not have an ongoing interest in the profits.
  7. Parent transfers patents related to Product to Subsidiary operating in country Y.
  8. Product is early stage pharmaceutical drug (high risk, low probability of commercialization).
  9. Payment based on anticipated future cash flows – expected cash flow discounted by appropriate discount rate.
  10. Subsidiary has no technical personnel for ongoing research activities.
  11. Subsidiary contracts with Parent to carry out research related to Product.
  12. Subsidiary funds all Product research, assumes risk, and pays Parent based on cost plus margins earned by similar CROs.

The fact pattern given above is the classic example of an early stage pharmaceutical company wanting to realize future profits in a low tax jurisdiction. In the pre-BEPS world, a significant portion of the profits would have moved to Country Y. It was generally recognized that given the Subsidiary was the legal owner, it was entitled to any excess profit or loss after paying routine amounts for the R&D activities, even where the important value creating functions of the IP did not take place in the Subsidiary's country. The transfer of the IP would have been done at a low value (although arm's length) as the prospects of successful commercialization were very uncertain at the time of the transfer.  In regards to future development of the intangible property, Parent, as a service provider, would have been entitled to a cost plus mark-up on costs incurred.

In a post-BEPS world, less emphasis is placed on legal ownership and more on economic aspects of substance. In the example above, Parent controls functions and manages patent risks owned by Subsidiary and is entitled to compensation. The Amended TP Guidelines, including the analysis to Example 17, will support that Parent's compensation is not appropriately recognized by the profits earned by a CRO. Parent's transactions with CROs are not comparable to the Subsidiary/Parent arrangement given that the functional profiles differ, i.e. parent is in control of function and is the more appropriate party to assume the risks of success or failure.  While Subsidiary legally owns the patents it lacks the capability to control research risks while Parent performs key decision making functions and thus should be appropriately compensated. 

Clearly there has been a fundamental shift in the way we look at the division of profits due to the introduction of BEPS. In a pre-BEPS environment, Subsidiary would be better able to keep profits given it legally owned the intangibles and paid arm's length prices for development functions. Post-BEPS, it is clear this will change with an emphasis on functions, including control of those functions and risks. 

Moving Intangible Property Offshore in a Transfer Pricing Setting – Pre-BEPS & Post-BEPS

Intangibles are becoming an increasingly important component of a company's value.  Intangibles often account for a larger stake in an enterprise's value than traditional tangible assets. When you factor in the mobility of these assets, it is not a surprise that IP migration strategies have frequently been relied upon to move profit generating assets to lower tax jurisdictions.  However there are other legitimate reasons for migrating intangibles, including: 

  • Protection of intangible property
  • Capital funding
  • Sharing in intangible development risks
  • Tax credit issues

From a tax perspective, during both the pre-BEPS and post-BEPS era, moving IP from one jurisdiction to another, including lower tax jurisdictions, can be justified and legally tax effective if the corresponding functions, assets and risks are moved with the IP. Historically, the legal owner took all, or a material portion of, the residual profits after routine profits were paid to entities that performed  functions related to the DEMPE of the intangibles and the management of the risk. In the post-BEPS environment however, a shift has occurred in that people functions, particularly controlling functions related to the DEMPE of the intangibles and controlling functions regarding the assumption and mitigation of risk, have far greater value than legal ownership, direct funding and contractual assumption of risk.

The old transfer pricing adage of "functions, assets and risk" is now misleading as functionality seems to be highly relevant in all three of those factors. In other words, if transfer pricing is supposed to be based on economic reality, does economic reality support allocation of residual profits to purely functions (e.g. labor) rather than ownership (e.g. assets). This is one of the main reasons there is debate in the international tax community, and particularly in the Canadian tax community, regarding whether the Amended TP Guidelines are clarifying in nature or whether they constitute a fundamental change to the arm's length principle. Unfortunately, this debate is a moot point because the opinion of the OECD and tax administrations, which ultimately prevails over that of the taxpayer, is that the revised guidelines are clarifying in nature and not a fundamental departure from the arm's length principle. The CRA has confirmed its view that the revisions are clarifying in nature.   

In the post-BEPS world, if tax motivated IP migration strategies are to be carried out in an acceptable manner, it is imperative that substantive functions be transferred with the intangibles. From the OECD's perspective, its BEPS initiative successfully eliminates the tax benefits behind cash box companies and other structures that were pushing the envelope with respect to lack of functionality in the lower tax jurisdiction.

Rectifying Pre-BEPS Structures that are Inconsistent with the Amended TP Guidelines

Many enterprises are concerned about how taxing authorities, such as the CRA, will treat existing tax structures involving IP migration that were  created before BEPS. As mentioned above, the Amended TP Guidelines are considered by the OECD and the CRA to be clarifying in nature and are, for all intent and purpose, retroactive in effect. If  taxpayers believe that their existing structures are not consistent with the Amended TP Guidelines and make no attempt to rectify them, they run the risk of being exposed to transfer pricing adjustments should they be audited by the CRA. In the event taxpayers decide to rectify the situation on a prospective basis only (e.g. by amending their transfer pricing documentation to reflect the Amended TP Guidelines for future years), this could red flag problems and deficiencies to the CRA with respect to prior taxation years.

To date, the CRA hasn't made public statements regarding possible relief for taxpayers trying to rectify existing IP migration structures that have been reported in a manner that is inconsistent with the Amended TP Guidelines. In the authors' view, this silence, or lack of guidance, is unfortunate considering the significance of the changes which are, arguably,  beyond clarifying in nature. What is more troublesome is the CRA's position that these changes are clarifying in nature and retroactive in effect despite having agreed to countless audit, appeal and mutual agreement settlements over the  years on IP migration structures, supposedly on a "principled" analysis of the arm's length principle, in a  manner that is not consistent with the Amended TP Guidelines. In other words, tax administrations have routinely settled transfer pricing cases in a manner that is not consistent with the Amended TP Guidelines and have allowed varying degrees of profits to be reported in lower tax jurisdictions where little functionality has taken place.    

In the absence of guidance from CRA on this matter, taxpayers should proceed with caution before deciding on a rectification strategy. Canadian taxpayers can file amended tax returns for non-statute-barred taxation years where their reported transfer prices are inconsistent with the Amended TP Guidelines. However, if the taxpayer's pending upward transfer pricing adjustments for prior taxation years are significant and subject to possible penalties, taxpayers may consider the CRA's voluntary disclosure program ("VDP").  The CRA has little experience in its VDP with respect to transfer pricing cases and the waiver of transfer pricing  penalties, so there is some uncertainty in this avenue of recourse. Also, Canada's VDP has stringent conditions for eligibility that often prohibit taxpayers from applying, particularly those taxpayers who are under constant audit activity by CRA. Taxpayers could also consider applying for an Advanced Pricing Agreement (APA) which assists taxpayers in determining transfer pricing methodologies for prospective years (generally 3 to 5 years). One of the benefits of the CRA's APA program is the ability for taxpayers to ask to apply the terms and conditions of an APA retroactively to non-statute-barred taxation years (i.e., an APA rollback). Where APA rollbacks are accepted, the taxpayer will not be subject to transfer pricing penalties.

Taxpayers would be well advised to seek tax counsel before deciding whether self-rectification of unaudited prior taxation years is advisable and, if so, what specific course of action to take.

Post–BEPS – Is there now more uncertainty?

As a consequence of the BEPS project and the resulting Amended TP Guidelines, profits must be aligned with the location of value creation. There is no ambiguity in the OECD's message to the tax community on this issue. However, the guidance from the OECD, including Example 17, does not provide much in the way of how the actual intercompany transfer prices should be documented. In a typical IP migration strategy, there is often only two intercompany transactions taking place: i) the initial transfer of the IP to the subsidiary located in the lower tax jurisdiction; and ii) the intercompany R&D service contract.  The final sale of the IP or the ultimate exploitation of the IP by the foreign subsidiary will be done with arm's length parties (i.e. customers). In the event the CRA decides not to recharacterize the transaction, the first intercompany transaction will simply involve valuation issues.  With regards to the second intercompany transaction, the OECD expects future revenues to be properly allocated to the parent company for its efforts in contributing to the value of the IP. However, in the absence of guidance from the OECD and tax administrations on how this should be documented, taxpayers are left in the dark.

From a practical point of view, profits should be set such that the simpler of the two parties be given a routine return while the more complex party receives the residual profits/losses if such profits materialize. The profits attributable to each party will depend on the functions performed, assets utilized, and risks assumed by each party. If the subsidiary is simply the holder of IP with no corresponding functions, it may only be entitled to an unadjusted return on capital. If the subsidiary performs routine functions in addition to holding the IP, a risk adjustment return on capital may be warranted. 

The decision to allocate excess profits/losses to the parent may cause audit controversy for a number of reasons. It is the authors' experience that governments are risk averse and want to see some level of compensation in the immediate term even though the parent may only be entitled to larger atypical profits or losses when the intangibles are fully utilized. Consider the possibility that, in the example above, the IP generated large losses in the initial post transfer years. Will the CRA allow the parent company, performing and controlling key functions and risks, to report the losses even though it did not own the IP and is simply a service provider according to the intercompany R&D service contract? It's doubtful. 

Tax authorities such as the CRA may have difficulty accepting that a service provider should not receive at least a cost plus mark-up on services it renders (in addition to some share of the profits if they materialize). It is very likely that setting intercompany pricing on an intercompany service agreement such that the parent company service provider incurs losses will trigger an audit.  The guidance, in our view, does not shed sufficient light on the mechanics of profit allocation and seems to add more confusion to an already uncertain landscape.  Example 17 of the Amended TP Guidelines is a common IP migration structure but it is highly likely that the annual reporting of the service contract during the start-up years where no profits are being realized will be treated differently between taxpayers and tax administrations until further guidance is developed.  

The Amended TP Guidelines will likely result in fewer companies carrying out IP migration strategies, which was one of the unwritten goals of the BEPS initiative. Consequently, the OECD and tax authorities may not be overly concerned about its lack of guidance on reporting issues during the start-up years following the transfer offshore of the legal ownership of the IP.  This is unfortunate because some IP migration strategies involving low tax jurisdictions may still be carried out, regardless of the Amended TP Guidelines, without the initial movement of functions. This could, for example, be an acceptable strategy where a start-up company wants to keep its options open (e.g. relocate the appropriate DEMPE functions to the jurisdiction that holds legal title of the intangibles) once it has a better idea of the potential value and income earning capacity of the intangible. Even though the Amended TP Guidelines will need to be considered regarding the lack of functionality in the low tax jurisdiction in that initial start-up period, there could be future departure tax savings by transferring ownership of the intangibles at the earliest stage possible.


The BEPS initiative was designed to ensure multinational corporations report profits in jurisdictions based on actual functions, assets and risks and to combat aggressive tax planning structures. The new guidance moves away from placing significant emphasis on legal ownership and towards economic substance and control. The introduction of the Amended TP Guidelines will provide taxing authorities, such as the CRA, more tools to raise and support transfer pricing adjustments. Consequently, taxpayers must be aware of this new guidance before carryout out any IP migration planning.

From a Canadian perspective, an unfortunate aspect of the BEPS project is the lack of guidance provided by CRA with respect to these new guidelines. In the authors' opinion, now that the CRA has endorsed these changes as clarifying in nature, having both retroactive and prospective effect, it is inappropriate for the CRA to now remain silent on self rectification and contemporaneous documentation issues. 

The jurisprudence is clear that legal form prevails in Canadian transfer pricing cases. The Supreme Court of Canada has on many occasions addressed the doctrine of economic substance and significantly limited the CRA's ability to ignore the facts and circumstances, and substitute a fiction based on economic substance. Two recent transfer pricing cases heard by the Tax Court of Canada ("TCC") also comment on the CRA's discretion to substitute legal reality with economic theory. In McKesson (2013 TCC 404)), the TCC concluded that the CRA can only recharacterize the legal reality under paragraph 247(2)(b), a special GAAR-like anti-avoidance rule in the Canadian taxing statute.  In the absence of a reassessment under this recharacterization provision, "[a] reassessment under [paragraphs] 247(2)(a) and (c) does not permit a recharacterization of the transactions entered into by non-arm's length parties, nor can another different transaction entirely be substituted therefor." In Marzen (2014 TCC 194), the TCC agreed with the Respondent's reference to the Current TP Guidelines in support of respecting legal reality which states "[a] tax administration's examination of a controlled transaction ordinarily should be based on the transaction actually undertaken by the associated enterprises as it has been structured by them." Both these transfer pricing cases are consistent with the earlier Supreme Court of Canada decisions concerning the appropriate use of the doctrine of economic substance.

With Canada's tax system having such a strong emphasis on legal form, one might question how a Canadian court would view a transfer pricing adjustment made by the CRA to an R&D service contract as per Example 17 above, once CRA has chosen not to recharacterize any of the transactions. That is, the OECD's approach under its Amended TP Guidelines is to reward the company that forms the value creating function while ignoring the traditional entrepreneurial principle of rewarding legal ownership with all or at least a portion of residual profits. In other words, the OECD seems to want to treat the company that contributes to the value creation of the IP as the beneficial owner of the IP in cases where they do not feel they have the grounds to recharacterize the transaction. However, issues will arise in the absence of further guidance on how to properly document these transactions in those early years where no revenues are generated.  It will be interesting to see how these cases will play out in a Canadian court. 

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

To print this article, all you need is to be registered on

Click to Login as an existing user or Register so you can print this article.

Events from this Firm
16 Jan 2018, Seminar, Birmingham, UK

Join Gowling WLG's pensions team as they explain some of the biggest challenges facing trustees and employers in the coming year and provide practical ways of dealing with them.

23 Jan 2018, Seminar, London, UK

Join Gowling WLG's pensions team as they explain some of the biggest challenges facing trustees and employers in the coming year and provide practical ways of dealing with them.

25 Jan 2018, Seminar, Birmingham, UK

2018 is set to be another big year in employment, with employers set to face new challenges and responsibilities. At our event, looking ahead to next year, we will be discussing four key issues you might face in 2018, providing useful tips and answering your questions.

In association with
Up-coming Events Search
Font Size:
Mondaq on Twitter
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).
Email Address
Company Name
Confirm Password
Mondaq Topics -- Select your Interests
 Law Performance
 Law Practice
 Media & IT
 Real Estate
 Wealth Mgt
Asia Pacific
European Union
Latin America
Middle East
United States
Worldwide Updates
Mondaq Ltd requires you to register and provide information that personally identifies you, including what sort of information you are interested in, for three primary purposes:
  • To allow you to personalize the Mondaq websites you are visiting.
  • To enable features such as password reminder, newsletter alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our information providers who provide information free for your use.
  • Mondaq (and its affiliate sites) do not sell or provide your details to third parties other than information providers. The reason we provide our information providers with this information is so that they can measure the response their articles are receiving and provide you with information about their products and services.
    If you do not want us to provide your name and email address you may opt out by clicking here
    If you do not wish to receive any future announcements of products and services offered by Mondaq you may opt out by clicking here

    Terms & Conditions and Privacy Statement (the Website) is owned and managed by Mondaq Ltd and as a user you are granted a non-exclusive, revocable license to access the Website under its terms and conditions of use. Your use of the Website constitutes your agreement to the following terms and conditions of use. Mondaq Ltd may terminate your use of the Website if you are in breach of these terms and conditions or if Mondaq Ltd decides to terminate your license of use for whatever reason.

    Use of

    You may use the Website but are required to register as a user if you wish to read the full text of the content and articles available (the Content). You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these terms & conditions or with the prior written consent of Mondaq Ltd. You may not use electronic or other means to extract details or information about’s content, users or contributors in order to offer them any services or products which compete directly or indirectly with Mondaq Ltd’s services and products.


    Mondaq Ltd and/or its respective suppliers make no representations about the suitability of the information contained in the documents and related graphics published on this server for any purpose. All such documents and related graphics are provided "as is" without warranty of any kind. Mondaq Ltd and/or its respective suppliers hereby disclaim all warranties and conditions with regard to this information, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. In no event shall Mondaq Ltd and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use or performance of information available from this server.

    The documents and related graphics published on this server could include technical inaccuracies or typographical errors. Changes are periodically added to the information herein. Mondaq Ltd and/or its respective suppliers may make improvements and/or changes in the product(s) and/or the program(s) described herein at any time.


    Mondaq Ltd requires you to register and provide information that personally identifies you, including what sort of information you are interested in, for three primary purposes:

    • To allow you to personalize the Mondaq websites you are visiting.
    • To enable features such as password reminder, newsletter alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
    • To produce demographic feedback for our information providers who provide information free for your use.

    Mondaq (and its affiliate sites) do not sell or provide your details to third parties other than information providers. The reason we provide our information providers with this information is so that they can measure the response their articles are receiving and provide you with information about their products and services.

    Information Collection and Use

    We require site users to register with Mondaq (and its affiliate sites) to view the free information on the site. We also collect information from our users at several different points on the websites: this is so that we can customise the sites according to individual usage, provide 'session-aware' functionality, and ensure that content is acquired and developed appropriately. This gives us an overall picture of our user profiles, which in turn shows to our Editorial Contributors the type of person they are reaching by posting articles on Mondaq (and its affiliate sites) – meaning more free content for registered users.

    We are only able to provide the material on the Mondaq (and its affiliate sites) site free to site visitors because we can pass on information about the pages that users are viewing and the personal information users provide to us (e.g. email addresses) to reputable contributing firms such as law firms who author those pages. We do not sell or rent information to anyone else other than the authors of those pages, who may change from time to time. Should you wish us not to disclose your details to any of these parties, please tick the box above or tick the box marked "Opt out of Registration Information Disclosure" on the Your Profile page. We and our author organisations may only contact you via email or other means if you allow us to do so. Users can opt out of contact when they register on the site, or send an email to with “no disclosure” in the subject heading

    Mondaq News Alerts

    In order to receive Mondaq News Alerts, users have to complete a separate registration form. This is a personalised service where users choose regions and topics of interest and we send it only to those users who have requested it. Users can stop receiving these Alerts by going to the Mondaq News Alerts page and deselecting all interest areas. In the same way users can amend their personal preferences to add or remove subject areas.


    A cookie is a small text file written to a user’s hard drive that contains an identifying user number. The cookies do not contain any personal information about users. We use the cookie so users do not have to log in every time they use the service and the cookie will automatically expire if you do not visit the Mondaq website (or its affiliate sites) for 12 months. We also use the cookie to personalise a user's experience of the site (for example to show information specific to a user's region). As the Mondaq sites are fully personalised and cookies are essential to its core technology the site will function unpredictably with browsers that do not support cookies - or where cookies are disabled (in these circumstances we advise you to attempt to locate the information you require elsewhere on the web). However if you are concerned about the presence of a Mondaq cookie on your machine you can also choose to expire the cookie immediately (remove it) by selecting the 'Log Off' menu option as the last thing you do when you use the site.

    Some of our business partners may use cookies on our site (for example, advertisers). However, we have no access to or control over these cookies and we are not aware of any at present that do so.

    Log Files

    We use IP addresses to analyse trends, administer the site, track movement, and gather broad demographic information for aggregate use. IP addresses are not linked to personally identifiable information.


    This web site contains links to other sites. Please be aware that Mondaq (or its affiliate sites) are not responsible for the privacy practices of such other sites. We encourage our users to be aware when they leave our site and to read the privacy statements of these third party sites. This privacy statement applies solely to information collected by this Web site.

    Surveys & Contests

    From time-to-time our site requests information from users via surveys or contests. Participation in these surveys or contests is completely voluntary and the user therefore has a choice whether or not to disclose any information requested. Information requested may include contact information (such as name and delivery address), and demographic information (such as postcode, age level). Contact information will be used to notify the winners and award prizes. Survey information will be used for purposes of monitoring or improving the functionality of the site.


    If a user elects to use our referral service for informing a friend about our site, we ask them for the friend’s name and email address. Mondaq stores this information and may contact the friend to invite them to register with Mondaq, but they will not be contacted more than once. The friend may contact Mondaq to request the removal of this information from our database.


    From time to time Mondaq may send you emails promoting Mondaq services including new services. You may opt out of receiving such emails by clicking below.

    *** If you do not wish to receive any future announcements of services offered by Mondaq you may opt out by clicking here .


    This website takes every reasonable precaution to protect our users’ information. When users submit sensitive information via the website, your information is protected using firewalls and other security technology. If you have any questions about the security at our website, you can send an email to

    Correcting/Updating Personal Information

    If a user’s personally identifiable information changes (such as postcode), or if a user no longer desires our service, we will endeavour to provide a way to correct, update or remove that user’s personal data provided to us. This can usually be done at the “Your Profile” page or by sending an email to

    Notification of Changes

    If we decide to change our Terms & Conditions or Privacy Policy, we will post those changes on our site so our users are always aware of what information we collect, how we use it, and under what circumstances, if any, we disclose it. If at any point we decide to use personally identifiable information in a manner different from that stated at the time it was collected, we will notify users by way of an email. Users will have a choice as to whether or not we use their information in this different manner. We will use information in accordance with the privacy policy under which the information was collected.

    How to contact Mondaq

    You can contact us with comments or queries at

    If for some reason you believe Mondaq Ltd. has not adhered to these principles, please notify us by e-mail at and we will use commercially reasonable efforts to determine and correct the problem promptly.

    By clicking Register you state you have read and agree to our Terms and Conditions